House hunting? This is 2016’s most pricey country

House prices in most countries looks set to keep rising this year, Fitch ratings agency said in a new report on Wednesday, as low mortgage rates and improving employment support growth.

Those looking to buy down under will need to dig particularly deep.

Fitch says Australia and New Zealand will remain expensive as low interest rates mean prices are set to remain elevated.

On a price to income basis Fitch identifies New Zealand as the most expensive country to buy property.

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The agency expects to see average price growth of 4 to 5 percent in the United States, adding that U.S. house prices remain 20 percent below peak levels.

With most markets set to enjoy price growth, affordability for many will remain a challenge.

Home ownership is at a 25-year low in the U.S. and is falling in many major mortgage markets says Fitch.

Although some regulators are attempting to address this by targeting investment properties such as buy-to-let, the agency says these efforts will struggle to contain the effect of continuing low interest rates.

To the north, Fitch continues to view Canadian home prices as overvalued but still expects growth this year between 2 and 2.5 percent.